In a change from last year, Ireland is seen as the more likely source of deal targets for Irish M&A executives, overtaking the UK as the most popular source for deals. Less than half expect that M&A will be negatively impacted by Brexit in the short term.

Commenting on the findings, Mark Collins, Partner and Head of Transaction Services at KPMG in Ireland said: “Despite the various headwinds, we remain positive on the overall outlook for M&A activity in 2017. Dealmaking will continue to play an important role for Irish organisations in achieving their strategic objectives, but will have to do so navigating even choppier waters.”

Michele Connolly, Partner and Head of Corporate Finance at KPMG in Ireland added: “We see a range of options for ambitious and nimble businesses looking to take advantage of opportunities with debt funding the preferred source of capital for deals. Whilst the global outlook remains unpredictable, strategic fit and price will be the drivers of activity. Most respondents appear to have already started to factor political uncertainties into their thinking and recognised that businesses can't simply stand still.”